• Cardano price is anticipating a bounce from a crucial demand zone ranging from $1.287 to $1.318.
  • Charles Hoskinson faced slack on Twitter due to his July 2020 prediction.
  • A successful bounce around the support area could propel ADA through immediate resistance levels to tag $1.61.

Cardano price has been on a pullback that has led to a retest of a crucial demand barrier. If the buyers come to the rescue here, ADA will likely propel and embark on a massive upswing.

Predictions gone awry

Charles Hoskinson, the founder of Cardano, has found himself the target of a flurry of attacks on Twitter due to his July 27, 2020 prediction.

In his prediction, Hoskinson mentioned that Cardano blockchain would harbor “hundreds of assets running on Cardano, thousands of DApps, tons of interesting projects and lots of unique use and utility.”

While Cardano has made sufficient progress over the months with its Shelley update, rolling out smart contracts functionality, native asset capabilities, and so on, the interaction with the blockchain has remained relatively low. To be precise, it will take Cardano a few more months to make progress on that front.

However, Twitter users were not as understanding.

Anthony Sassano, a well-known Ethereum supporter, sarcastically added, “Truly revolutionary technology - you are a visionary Charles.”

A Twitter user going by the screen name “Undervalued Cryptos” tweeted,

Hoskinson responded to this tweet saying,

There are thousands of assets on Cardano. I guess you haven't been paying attention. Tons of devs learning, training, writing. Lots of launch apps.

Alonzo and other updates

Cardano is trying to introduce smart contracts functionality via the much-anticipated Alonzo update. This upgrade contains multiple testnet phases, which are color separated. Hoskinson mentioned in a recent video update that there was a delay with the 1.2.8 node and that the next step will be launching by Monday.

Speaking about the Daedalus wallet backend, the founder added that it was slated for full integration by the end of July and the same for the Plutus application backend.

ADA price looks to make equal or higher highs

Cardano price has been on a steady downtrend since its rejection at $1.486 on July 5. So far, ADA has dropped 14% and dipped into a key demand zone, extending from $1.287 to $1.318. Investors can expect Cardano price to start reversing the trend as the bid-orders pile up.

If this were to happen, the so-called “Ethereum killer” is likely to encounter multiple resistance barriers up to $1.486. Here, the bulls and the bears will face a make-or-break moment

A decisive 4-hour candlestick close above this level will signal that the uptrend will continue. In such a case, ADA will rally 8% to tag or sweep the June 15 swing high at $1.61.

In total, this move represents a 22% advance from $1.318.

ADA/USDT 4-hour chart

ADA/USDT 4-hour chart

While the bounce from the support area stretching from $1.287 to $1.318 is likely, a breakdown of this barrier is plausible. If this were to happen, market participants could expect ADA to slide to the subsequent demand zone extending from $1.156 to $1.196.

While this move might delay the uptrend, it would not halt it.

However, a breakdown of $1.196 will indicate the presence of sellers and invalidate the bullish thesis. If this were to happen, Cardano price would likely retest the range low at $1.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Cryptos feed Join Telegram

Recommended content

Recommended Content

Editors’ Picks

Crypto Sleeping Giants: Hedera Hashgraph price could shock the world

Crypto Sleeping Giants: Hedera Hashgraph price could shock the world

HBAR price shows a drop in volume amidst the current downtrend. Hedera Hashgraph has the potential to rally towards 2000%. Traders should keep the smart contract alternative token on their watchlists and consider a dollar cost average approach for investing. 

More Cryptocurrencies news

Solana Price Prediction: How many hacked wallets does it take to spark a bull run?

Solana Price Prediction: How many hacked wallets does it take to spark a bull run?

Solana price continues to show mixed signals during the 2nd trading week of August. While several cryptocurrencies have displayed bullish vengeance, the centralized smart contract token has failed to reconquer losses experienced since May 12.

More Solana news

Is a 75% decline still possible for the Ethereum Classic price?

Is a 75% decline still possible for the Ethereum Classic price?

Ethereum Classic price rallied 100% between July 12 and July 24 before a short consolidation unfolded. After a few shallow days of sideways congestion, the Ethereum Classic price kicked off another 90% rally. Invalidation of the uptrend is dependent on $13 holding as support.

More Ethereum Classic news

Ethereum Price Prediction: Get ready for a Wall Street discount

Ethereum Price Prediction: Get ready for a Wall Street discount

Ethereum price breaches target one at $1800, which was mentioned in July’s market bottom thesis. ETH price shows an influx of deposits on all exchanges. The midterm bullish forecasts are dependent on $1250 holding as support.

More Ethereum news

Bitcoin: If bulls lose control here, BTC could revisit $21,000

Bitcoin: If bulls lose control here, BTC could revisit $21,000

Bitcoin price shows an interesting setup that could reveal its next move. On closer inspection,  its technicals support a bearish outlook for the leading crypto.  

Read full analysis